April 23, 2025
To build a successful corporate venture studio, it starts with setting clear "winning conditions" and an investment thesis that is strategically aligned—but not shackled—to the core business. Marcus emphasized the importance of avoiding overlap with existing corporate venture capital or innovation labs and instead, focusing on small, elite teams that are empowered and autonomous. He recommends starting lean and avoiding the pressure of early KPIs so teams can first validate the thesis and install a proper operating model.
Ben added that it's essential to treat the studio as a portfolio game. You’re not building one venture—you’re building a system. He also pointed out there are over 60 variables to consider when designing a studio (e.g., structure, branding, investment model), and cautioned against over-designing before building. His advice: build while you design.
Marcus emphasized that structure matters—a lot. You have to start by determining whether you're partnering or spinning out, and then think through everything from IP ownership to governance and compliance. He uses a people-assets-kill switch framework: Who owns what? How do we protect IP? What happens when something fails?
Ben echoed that sentiment and offered tactical examples. Should the studio be a business unit, wholly owned subsidiary, or an external entity? Each comes with different legal implications. He noted that some companies aim for at least 51% ownership in external ventures, often with acquisition rights built in. These early structural decisions affect board responsibilities, fiduciary duty, and how risk is managed.
"You can’t just foster it—you have to fight for it," Marcus said. Leadership sets the tone, and the leader must be willing to take risks and reward others who do the same. Safe zones, kill switches, reduced approval layers—these are all ways to encourage experimentation.
Ben took a bottom-up view. While top-down support is critical, real change happens when a small group of internal rebels is empowered to experiment. These early adopters go back to their departments and influence others. The key isn't training—it’s doing. The most successful programs we've seen give people enough time and safety to build something new and meaningful.
Marcus’s advice: decide if you really want to compete. If you do, speed and boldness matter—but not at the cost of rigor. He believes in the power of elite, cross-functional teams and recommends accelerators, collision days, and pilot programs as tools to quickly vet opportunities.
Ben highlighted a structural issue—most corporate innovation teams operate in silos. CVC writes checks. Internal teams build. Studios create. Partnership teams partner. What’s missing? A unifying validation layer. Instead of picking a tool first, identify the problem, validate it, and then select whether to build, buy, or partner. That’s how some of the best studios operate, including ZX Ventures and RBC Ventures.
"You don’t," Marcus said bluntly. Cutting growth innovation during market stress is weak leadership. The question isn't how to balance—it’s how to protect innovation as a strategic asset. If you're not willing to do that, then at least be honest and call it what it is: defense.
Ben acknowledged that pressure but argued for balance. You don’t need massive investment in H2/H3 ventures to make progress—you just need the right amount, shielded and governed appropriately. These bets can be small but meaningful, and they must be made alongside core business operations.
Marcus took the contrarian view: start by focusing on what not to track. Workshops, patents, idea logs—those are activity metrics, not outcomes. What matters is venture-level traction, portfolio value creation, and tangible strategic outcomes that align with long-term corporate goals.
Ben layered on two levels of measurement: venture-specific and portfolio-wide. For individual ventures, early traction matters—even if the numbers are small. For the studio, investor-style metrics like cost per venture, stage progression, and third-party validation of value are more telling than anything else. Most importantly, he emphasized the need to ship. Many studios take years to launch a single company. Just shipping one venture can create momentum, learning loops, and credibility.
Thanks to everyone who submitted questions. If you want to talk about venture studios, innovation strategy, or just jam on what winning looks like, we’re always around:
We always enjoy conversations about innovation and startup building so please get in touch.
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